Lowe’s Cos. reduced its full-year revenue forecast again, underscoring the shift away from big home-renovation projects after the pandemic boom.
Same-store sales fell 7.4% in the third quarter ended Nov. 3 — the fourth consecutive decline. Analysts expected a 4.9% drop.
For the full year, Lowe’s now sees adjusted revenue dropping 5%, rather than a decline of 2% to 4%. In May, Lowe’s lowered its forecast due to lower spending on discretionary items such as patio furniture and appliances.
The shares fell 6.1% in pre-market trading in New York. Lowe’s shares have gained 2.6% since the start of the year through Monday’s close, trailing the 18% gain for the S&P 500 Index.
The results follow Home Depot Inc.’s report last week that also showed a drop in comparable sales, along with narrowed guidance for the full year. In the current fiscal year, analysts expect both Lowe’s and Home Depot to report their first simultaneous declines in revenue growth in 13 years.
